TMB vs VTI

TMB vs VTI

Which is better, TMB or VTI?

VTI has been ahead.

VTI has a lower expense ratio. VTI led over 1Y and the full window.

Lower Fees: VTIHigher Returns: VTI

MarketXLS is not an investment adviser. This comparison is generated automatically from market data and is for information only. A Best mark means the better reading on that one measure, not a recommendation to buy.

Side-by-Side Comparison

MetricTMBVTI
Expense Ratio0.55%0.03%Best
AUM$259M$666.9B
Dividend Yield4.71%1.03%
Holdings5573,543
YTD Return-0.04%+11.53%Best
1Y Return+0.74%+15.74%Best
3Y Return (annualized)-+20.67%
5Y Return (annualized)-+11.59%
Volatility (annualized)2.2%Best13.2%
Max Drawdown-2.0%Best-19.3%
$10,000 over 1.6 years$10,657$12,644Best
Fund FamilyThornburg Investment ManagementVanguard (US)
CategoryFixed IncomeEquity
Style-Large Cap Blend
InceptionFeb 5, 2025May 24, 2001

Not shown on this pair: Top 10 Weight.

Volatility and max drawdown, and the $10,000 over 1.6 years row, are measured over the window both funds cover: Feb 5, 2025 to Sep 15, 2026 (1.6 years).

TMB vs VTI growth

Month-end closes. Both lines start at 0% in the first month shown, so the gap between them is the difference in growth across that window. The full view covers the 1.6 years both funds cover.

TMB vs VTI Performance

Thornburg Multi Sector Bond ETF (TMB) is an ETF from Thornburg Investment Management and Vanguard Morningstar Total Stock Market ETF (VTI) is an ETF from Vanguard (US). Over the past year TMB returned +0.74% while VTI returned +15.74%. Year to date, TMB is down 0.04% versus a gain of 11.53% for VTI.

Past performance does not guarantee future results.

Risk: Volatility and Drawdowns

VTI has been the more volatile fund, with annualized monthly volatility of 13.2% compared with 2.2% for TMB. Lower volatility generally means a smoother ride, though it often comes with lower long-run returns.

The deepest peak-to-trough decline in our data was -2.0% for TMB and -19.3% for VTI. Drawdown depth is what each fund did in the worst stretch of the window measured above.

The two funds' monthly returns correlate at 0.33. They move together some of the time, and apart the rest.

Fees and Cost Over Time

TMB charges 0.55% per year while VTI charges 0.03%. On a $10,000 position that is $55 vs $3 annually, a gap of $52 per year that compounds over a long holding period. On income, TMB currently yields 4.71% against 1.03% for VTI.

Holdings Overlap

VTI already in TMB0.2%

At least 0.2% of VTI's money is in holdings TMB also owns.

Stated as a floor: for TMB, our book for it covers 44.0% of that fund, so a holding it does not list is one we cannot count as shared. The real figure is this or higher.

We cannot see either book well enough to say how much of this pair is duplicated.

2 positions in common, counted across the 324 positions we hold weights for in TMB and 3,463 in VTI, against full books of 557 and 3,543.

Top Shared Holdings

StockWeight in TMBWeight in VTIDifference
DUKDuke Energy Corp (Duk)0.18%0.14%0.04%
THCTenet Healthcare Corporation 6.13 06/15/20300.15%0.03%0.12%

You are not choosing between two funds in isolation.

Whichever of TMB and VTI you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.

TMBVTI

Free for up to 10 holdings. No account needed.

Frequently Asked Questions

Which is cheaper, TMB or VTI?

TMB has an expense ratio of 0.55% while VTI charges 0.03%. VTI is the cheaper option, by $52 a year on a $10,000 investment.

Which performed better, TMB or VTI?

Over the past year TMB returned +0.74% vs +15.74% for VTI, so VTI leads on 1-year performance. Over the longest common window we track (2 years), TMB annualized +4.06% vs +15.79% for VTI. Past performance does not guarantee future results. This is information, not a recommendation.

Which is riskier, TMB or VTI?

VTI has been the more volatile fund at 13.2% annualized versus 2.2% for TMB. Worst drawdown: TMB -2.0% vs VTI -19.3%.

Should I hold both TMB and VTI?

TMB and VTI have a monthly-return correlation of 0.33, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.

Which pays a higher dividend, TMB or VTI?

TMB yields 4.71% while VTI yields 1.03%, so TMB currently pays the higher dividend yield.

Is VTI better than TMB?

VTI has a lower expense ratio. VTI led over 1Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.